New-Age Tech IPOs Surge in India with Rs 15,000 Crore Raised this Year

Strategic Insights -

The new-age tech IPO (Initial Public Offering) market in India has seen a significant surge with nearly Rs 15,000 crore raised this year, making it the best year for fund-raising since 2021. Six new-age tech startups, including Ola Electric and FirstCry, have gone public this year, raising a combined Rs 14,571 crore, as per Prime Database and exchange data. This year's total is nearly 35% of the Rs 42,826 crore raised by seven startups in 2021. Swiggy and MobiKwik are also set to join the IPO queue, with Swiggy's Rs 10,000-crore IPO likely to be upsized to Rs 11,700 crore next week.

Key Takeaways:

  • New-age tech IPOs have raised nearly Rs 15,000 crore this year, making it the best year for fund-raising since 2021.
  • Six new-age tech startups have gone public this year, raising a combined Rs 14,571 crore.
  • Since 2019, about 21 new-age tech companies have collectively raised Rs 67,515 crore through IPOs.
  • New-age tech IPOs are expected to make up 20-30% of the $15-20 billion worth of IPOs estimated to hit the street in the second half of FY25.
  • The rush of new-age IPOs comes after a three-year lull when a broader global tech downturn had nudged several startups to go slow on public listing plans.
  • About $75-100 billion of tech market cap is estimated to be added to the public markets over the next three years.
  • Domestic asset managers are taking larger stakes in new-age companies after listing.

Statistics:

  • Rs 15,000 crore raised via new-age tech IPOs this year.
  • Rs 14,571 crore raised by six new-age tech startups this year.
  • Rs 42,826 crore raised by seven startups in 2021.
  • Rs 67,515 crore raised by 21 new-age tech companies since 2019.
  • $15-20 billion worth of IPOs estimated to hit the street in the second half of FY25.
  • $7-billion worth of IPOs in H1FY25.

Sources:

  • Gaurav Sood, MD and head, equity capital markets at Avendus Capital
  • Neha Agarwal, MD & head, equity capital markets at JM Financial Institutional Securities
  • Pranav Haldea, MD at Prime Database Group
  • "Times of India" - [Article Title: New-age tech IPOs cash in on bullish stock market sentiments](https://timesofindia.indiatimes.com/articleshow/92719752.cms)